Commerz Real and Wertgrund acquire first residential complex in Darmstadt for hausInvest
Construction project with 194 apartments, 49 of which are publicly subsidised
Completion scheduled for 2021 at the latest
Wertgrund assumes leasing and property management
In the framework of the cooperation which they recently entered into, Commerz Real and Wertgrund Immobilien have acquired their first property – a new residential complex construction in Darmstadt. The seller is MAG Projektentwicklungs GmbH, a subsidiary of Mainzer Aufbaugesellschaft mbH, which is domiciled in Mainz. It was agreed that confidentiality be maintained on the purchase price. Completion and transfer to the Commerz Real open-ended real estate fund hausInvest are scheduled to take place in 2021. Wertgrund has accompanied the transaction and will assume the leasing and property management. The acquisition was structured as a forward funding agreement. This means that the fund initially bought the plot of land with a development obligation and then pays for the property in instalments depending on construction progress.
The complex, which is located at Haardtring 3 in the Darmstadt West district, encompasses eight apartment houses with a total of 194 two- to four-room apartments on a residential floor area of approx. 15,600 square metres, as well as 213 underground car parking spaces. 49 of the apartments are to be publicly subsidised. All the buildings are being constructed to the KfW Efficiency House 55 standard. The construction project is part of what is currently Darmstadt’s largest district development; in the framework of this development a total of 13 new buildings with 684 apartments and micro-apartments are being built on an area of approx. 24,000 square metres. “As a university city in the burgeoning Rhine-Main metropolitan region Darmstadt has a positive population development and very good growth prognoses,” explains Thomas Meyer, the chairman of the board of management of Wertgrund Immobilien. Thus according to figures released by the city, the population grew by nearly 14 per cent from 2007 to 2017, while the number of residential units in the period between 2007 and 2018 merely increased by just less than four per cent. Through to 2030 the city expects the population growth to be approx. seven per cent.
“A successful start to our collaboration,” says Andreas Muschter, the Chief Executive Officer of Commerz Real.
As a new construction with subsidised residential units in a developing city with strong demand for apartments this property corresponds perfectly with the hausInvest investment strategy.
Andreas Muschter, the Chief Executive Officer of Commerz Real
The second-largest German open-ended real estate fund has a volume of approx. 14.9 billion euros and intends to invest some two billion euros in residential real estate within the next four to five years. In order to achieve this objective Commerz Real has been cooperating with the residential specialist Wertgrund Immobilien since April 2019.